Extends for four years a real property tax abatement program for cooperative and condominium units in cities of one million or more, to address the inequitable tax treatment of co-op and condo owners.
STATE OF NEW YORK
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7091--A
IN SENATE
April 27, 2012
___________
Introduced by Sens. GOLDEN, ADAMS, AVELLA, DUANE, GIANARIS, HUNTLEY,
KRUEGER, LANZA, MONTGOMERY, PERALTA, SAVINO, STAVISKY -- read twice
and ordered printed, and when printed to be committed to the Committee
on Local Government -- committee discharged, bill amended, ordered
reprinted as amended and recommitted to said committee
AN ACT to amend the real property tax law, in relation to partial abate-
ment of real property taxes; and to amend the real property tax law,
in relation to exemption from taxation of alterations and improvements
to multiple dwellings
The People of the State of New York, represented in Senate and Assem-bly, do enact as follows:
1 Section 1. Subparagraph (xvi) of paragraph (c) of subdivision 2 of
2 section 467-a of the real property tax law, as added by chapter 109 of
3 the laws of 2008, is amended and three new subparagraphs (xvii), (xviii)
4 and (xix) are added to read as follows:
5 (xvi) twenty-five percent in the fiscal year commencing in calendar
6 year two thousand eleven[.];
7 (xvii) twenty-five percent in the fiscal year commencing in calendar
8 year two thousand twelve;
9 (xviii) twenty-five percent in the fiscal year commencing in calendar
10 year two thousand thirteen;
11 (xix) twenty-five percent in the fiscal year commencing in calendar
12 year two thousand fourteen.
13 § 2. Subparagraph (xvi) of paragraph (d) of subdivision 2 of section
14 467-a of the real property tax law, as added by chapter 109 of the laws
15 of 2008, is amended and three new subparagraphs (xvii), (xviii) and
16 (xix) are added to read as follows:
17 (xvi) seventeen and one-half percent in the fiscal year commencing in
18 calendar year two thousand eleven[.];
19 (xvii) seventeen and one-half percent in the fiscal year commencing in
20 calendar year two thousand twelve;
21 (xviii) seventeen and one-half percent in the fiscal year commencing
22 in calendar year two thousand thirteen;
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD15543-04-2
S. 7091--A 2
1 (xix) seventeen and one-half percent in the fiscal year commencing in
2 calendar year two thousand fourteen.
3 § 3. Paragraphs (a) and (c) of subdivision 3 of section 467-a of the
4 real property tax law, as amended by chapter 109 of the laws of 2008,
5 are amended to read as follows:
6 (a) An application for an abatement pursuant to this section for the
7 fiscal year commencing in calendar year nineteen hundred ninety-six
8 shall be made no later than the fifteenth day of September, nineteen
9 hundred ninety-six. An application for an abatement pursuant to this
10 section for the fiscal year commencing in calendar year nineteen hundred
11 ninety-seven shall be made no later than the first day of April, nine-
12 teen hundred ninety-seven. An application for an abatement pursuant to
13 this section for the fiscal year commencing in calendar year nineteen
14 hundred ninety-eight shall be made no later than the first day of April,
15 nineteen hundred ninety-eight. An application for an abatement pursuant
16 to this section for the fiscal year commencing in calendar year nineteen
17 hundred ninety-nine shall be made in accordance with this subdivision
18 and subdivision three-a of this section. An application for an abatement
19 pursuant to this section for the fiscal year commencing in calendar year
20 two thousand shall be made no later than the fifteenth day of February,
21 two thousand. An application for an abatement pursuant to this section
22 for the fiscal year commencing in calendar year two thousand one shall
23 be made in accordance with this subdivision and subdivision three-b of
24 this section. An application for an abatement pursuant to this section
25 for the fiscal year commencing in calendar year two thousand two shall
26 be made no later than the fifteenth day of February, two thousand two.
27 An application for an abatement pursuant to this section for the fiscal
28 year commencing in calendar year two thousand three shall be made no
29 later than the fifteenth day of February, two thousand three. An appli-
30 cation for an abatement pursuant to this section for the fiscal year
31 commencing in calendar year two thousand four shall be made in accord-
32 ance with this subdivision and subdivision three-c of this section. An
33 application for an abatement pursuant to this section for the fiscal
34 year commencing in calendar year two thousand five shall be made no
35 later than the fifteenth day of February, two thousand five. An applica-
36 tion for an abatement pursuant to this section for the fiscal year
37 commencing in calendar year two thousand six shall be made no later than
38 the fifteenth day of February, two thousand six. An application for an
39 abatement pursuant to this section for the fiscal year commencing in
40 calendar year two thousand seven shall be made no later than the
41 fifteenth day of February, two thousand seven. An application for abate-
42 ment pursuant to this section for the fiscal year commencing in calendar
43 year two thousand eight shall be made in accordance with this subdivi-
44 sion and subdivision three-d of this section. An application for an
45 abatement pursuant to this section for the fiscal year commencing in
46 calendar year two thousand nine shall be made no later than the
47 fifteenth day of February, two thousand nine. An application for an
48 abatement pursuant to this section for the fiscal year commencing in
49 calendar year two thousand ten shall be made no later than the fifteenth
50 day of February, two thousand ten. An application for an abatement
51 pursuant to this section for the fiscal year commencing in calendar year
52 two thousand eleven shall be made no later than the fifteenth day of
53 February, two thousand eleven. An application for abatement pursuant to
54 this section for the fiscal year commencing in calendar year two thou-
55 sand twelve shall be made in accordance with this subdivision and subdi-
56 vision three-e of this section. An application for an abatement pursuant
S. 7091--A 3
1 to this section for the fiscal year commencing in calendar year two
2 thousand thirteen shall be made no later than the fifteenth day of
3 February, two thousand thirteen. An application for an abatement pursu-
4 ant to this section for the fiscal year commencing in calendar year two
5 thousand fourteen shall be made no later then the fifteenth day of
6 February, two thousand fourteen.
7 (c) No abatement pursuant to this section shall be granted unless the
8 applicant files an application for an abatement within the time periods
9 prescribed in paragraph (a) of this subdivision or subdivision three-a,
10 three-b, three-c [or], three-d or three-e of this section, provided,
11 however, that the commissioner of finance may, for good cause shown,
12 extend the time for filing an application.
13 § 4. Paragraph (h) of subdivision 3 of section 467-a of the real prop-
14 erty tax law, as amended by chapter 109 of the laws of 2008, is amended
15 to read as follows:
16 (h) Notwithstanding any other provision of law to the contrary, appli-
17 cation by the board of directors of a cooperative apartment corporation
18 for an abatement pursuant to this section for either the fiscal year
19 commencing in calendar year two thousand five or the fiscal year
20 commencing in the calendar year two thousand six or the fiscal year
21 commencing in the calendar year two thousand seven or the fiscal year
22 commencing in the calendar year two thousand eight or the fiscal year
23 commencing in the calendar year two thousand nine or the fiscal year
24 commencing in the calendar year two thousand ten or the fiscal year
25 commencing in the calendar year two thousand eleven or the fiscal year
26 commencing in the calendar year two thousand twelve or the fiscal year
27 commencing in the calendar year two thousand thirteen or the fiscal year
28 commencing in the calendar year two thousand fourteen shall be made by
29 the filing of an information return pursuant to subdivision (g) of
30 section 11-2105 of the administrative code of the city of New York, as
31 added by local law number fifty-eight of the city of New York for the
32 year nineteen hundred eighty-nine, including an election by such board
33 of directors that such information return be deemed an application for
34 an abatement pursuant to this section for such fiscal year, provided,
35 however, that where the board of directors files an application on
36 behalf of a cooperative apartment corporation that is not receiving an
37 abatement pursuant to this section for the fiscal year immediately
38 preceding the fiscal year for which the application is filed, then the
39 board of directors shall be required to file, in addition to the infor-
40 mation return pursuant to subdivision (g) of section 11-2105 of the
41 administrative code of the city of New York, as added by local law
42 number fifty-eight of the city of New York for the year nineteen hundred
43 eighty-nine, any information return covering a reporting period begin-
44 ning on or after January first, nineteen hundred ninety-six, that has
45 not been filed previously. Information returns that are deemed to be
46 applications for an abatement pursuant to this paragraph shall be
47 subject to the provisions of this section relating to such applications
48 including, but not limited to, the provisions of this subdivision and
49 subdivision four of this section.
50 § 5. Section 467-a of the real property tax law is amended by adding a
51 new subdivision 3-e to read as follows:
52 3-e. (a) An applicant whose property did not receive an abatement
53 pursuant to this section for the fiscal year commencing in calendar year
54 two thousand eleven shall submit an application for an abatement pursu-
55 ant to this section for the fiscal year commencing in calendar year two
S. 7091--A 4
1 thousand twelve no later than sixty days following the effective date of
2 this subdivision.
3 (b) The abatement for the fiscal year commencing in calendar year two
4 thousand twelve of a cooperative apartment corporation that received an
5 abatement pursuant to this section for the fiscal year commencing in
6 calendar year two thousand eleven and that submitted an information
7 return on or before February fifteenth, two thousand twelve, that
8 included an election by the board of directors of such cooperative
9 apartment corporation that such information return be deemed an applica-
10 tion for an abatement pursuant to this section for such fiscal year,
11 shall be based on the information contained in such information return.
12 (c) The abatement for the fiscal year commencing in calendar year two
13 thousand twelve of a cooperative apartment corporation that received an
14 abatement pursuant to this section for the fiscal year commencing in
15 calendar year two thousand eleven and that submitted an information
16 return on or before February fifteenth, two thousand twelve, that did
17 not include an election by the board of directors of such cooperative
18 apartment corporation that such information return be deemed an applica-
19 tion for an abatement pursuant to this section for such fiscal year,
20 shall be based on the information contained in the application submitted
21 in two thousand eleven or on the information contained in such informa-
22 tion return, or both, provided that nothing in this paragraph shall
23 authorize or require the commissioner of finance to grant an abatement
24 with respect to a property or a dwelling unit that is not eligible as of
25 the applicable taxable status date for the fiscal year commencing in
26 calendar year two thousand twelve.
27 (d) The board of managers of a condominium that received an abatement
28 pursuant to this section for the fiscal year commencing in calendar year
29 two thousand eleven shall submit an application for an abatement pursu-
30 ant to this section for the fiscal year commencing in calendar year two
31 thousand twelve no later than sixty days following the effective date of
32 this subdivision. If such board of managers does not submit such appli-
33 cation within sixty days following the effective date of this subdivi-
34 sion, then the abatement for the fiscal year commencing in calendar year
35 two thousand twelve for such condominium shall be based on the informa-
36 tion contained in the application submitted in two thousand eleven,
37 provided that nothing in this paragraph shall authorize or require the
38 commissioner of finance to grant an abatement with respect to a property
39 or a dwelling unit that is not eligible as of the applicable taxable
40 status date for the fiscal year commencing in calendar year two thousand
41 twelve.
42 § 6. The opening paragraph of paragraph (a) of subdivision 1 of
43 section 489 of the real property tax law, as amended by chapter 244 of
44 the laws of 2006, is amended to read as follows:
45 Any city to which the multiple dwelling law is applicable, acting
46 through its local legislative body or other governing agency, is hereby
47 authorized and empowered, to and including June [first] fifteenth, two
48 thousand [eleven] fifteen, to adopt and amend local laws or ordinances
49 providing that any increase in assessed valuation of real property shall
50 be exempt from taxation for local purposes, as provided herein, to the
51 extent such increase results from:
52 § 7. The closing paragraph of subparagraph 6 of paragraph (a) of
53 subdivision 1 of section 489 of the real property tax law, as amended by
54 chapter 244 of the laws of 2006, is amended to read as follows:
55 Such conversion, alterations or improvements shall be completed within
56 thirty-six months after the date on which same shall be started except
S. 7091--A 5
1 that such thirty-six month limitation shall not apply to conversions of
2 residential units which are registered with the loft board in accordance
3 with article seven-C of the multiple dwelling law pursuant to subpara-
4 graph one of this paragraph. Notwithstanding the foregoing, a sixty
5 month period for completion shall be available for alterations or
6 improvements undertaken by a housing development fund company organized
7 pursuant to article eleven of the private housing finance law, which are
8 carried out with the substantial assistance of grants, loans or subsi-
9 dies from any federal, state or local governmental agency or instrumen-
10 tality or which are carried out in a property transferred from such city
11 if alterations and improvements are completed within seven years after
12 the date of transfer. In addition, the local housing agency is hereby
13 empowered to grant an extension of the period of completion for any
14 project carried out with the substantial assistance of grants, loans or
15 subsidies from any federal, state or local governmental agency or
16 instrumentality, if such alterations or improvements are completed with-
17 in sixty months from commencement of construction. Provided, further,
18 that such conversion, alterations or improvements shall in any event be
19 completed prior to December thirty-first, two thousand [eleven] fifteen.
20 Exemption for conversions, alterations or improvements pursuant to
21 subparagraph one, two, three or four of this paragraph shall continue
22 for a period not to exceed fourteen years and begin no sooner than the
23 first quarterly tax bill immediately following the completion of such
24 conversion, alterations or improvements. Exemption for alterations or
25 improvements pursuant to this subparagraph or subparagraph five of this
26 paragraph shall continue for a period not to exceed thirty-four years
27 and shall begin no sooner than the first quarterly tax bill immediately
28 following the completion of such alterations or improvements. Such
29 exemption shall be equal to the increase in the valuation which is
30 subject to exemption in full or proportionally under this subdivision
31 for ten or thirty years, whichever is applicable. After such period of
32 time, the amount of such exempted assessed valuation of such improve-
33 ments shall be reduced by twenty percent in each succeeding year until
34 the assessed value of the improvements are fully taxable. Provided,
35 however, exemption for any conversion, alterations or improvements which
36 are aided by a loan or grant under article eight, eight-A, eleven,
37 twelve, fifteen or twenty-two of the private housing finance law,
38 section six hundred ninety-six-a or section ninety-nine-h of the general
39 municipal law, or section three hundred twelve of the housing act of
40 nineteen hundred sixty-four (42 U.S.C.A. 1452b), or the Cranston-Gonza-
41 lez national affordable housing act (42 U.S.C.A. 12701 et. seq.), or
42 started after July first, nineteen hundred eighty-three by a housing
43 development fund company organized pursuant to article eleven of the
44 private housing finance law which are carried out with the substantial
45 assistance of grants, loans or subsidies from any federal, state or
46 local governmental agency or instrumentality or which are carried out in
47 a property transferred from any city and where alterations and improve-
48 ments are completed within seven years after the date of transfer may
49 commence at the beginning of any tax quarter subsequent to the start of
50 such conversion, alterations or improvements and prior to the completion
51 of such conversion, alterations or improvements.
52 § 8. The city of New York shall present a plan to the legislature, no
53 later than February 1, 2016, containing recommendations to address the
54 disparity in real property taxation between residential real property in
55 class one and residential real property in class two held in the cooper-
56 ative or condominium form of ownership.
S. 7091--A 6
1 § 9. This act shall take effect immediately; provided, however that
2 sections six and seven of this act shall be deemed to have been in full
3 force and effect on and after June 1, 2011.
